As the Chinese Automaker launches its European Strategy, we look at Changan’s new Deepal S07 SUV and ask what impact it will have on a post-US tariff market
Following a brand launch event in Mainz, Germany on March 21, 2025, Chinese automotive manufacturer Changan has begun shipping its Deepal S07 electric SUV to key European markets. This comes amid an accelerating trend of Chinese EV manufacturers expanding into Europe, creating new competitive dynamics in the industry, and challenging the – until recently – US dominance of the market.
Aimed squarely at Europe’s fastest-growing EV segment, the Deepal S07 is a mid-sized electric SUV that delivers a 475-kilometer WLTP range. This places it competitively against established models like the Volkswagen ID.4 and Skoda Enyaq, while undercutting them on price.
The vehicle’s dual-motor all-wheel-drive configuration delivers 320 kW (429 hp) of peak power with 620 Nm of torque, achieving 0-100 km/h acceleration in 4.9 seconds. The platform supports 110 kW DC fast charging, enabling a 30-80% charge in approximately 30 minutes, which meets current European consumer expectations though falls below the fastest-charging competitors like Hyundai’s E-GMP platform vehicles.
The Deepal S07’s electrical architecture operates on an 800-volt system, like premium offerings from Porsche and Audi, enhancing both charging and overall efficiency. This suggests Changan’s focus is on incorporating advanced technological solutions rather than competing solely on price, a strategy that differentiates it from some other Chinese market entrants.
Designs on Europe
Although an East Asian company, Changan developed the Deepal S07 at its design center in Turin, Italy, and conceived it specifically for European consumers. Prior to its market introduction, the vehicle secured a 5-star Euro NCAP safety rating, all-important for European car buyers. The aim of the design team, led by former Pininfarina designer Frank Stephenson, was to balance the Chinese brand identity with European aesthetic preferences.
“The CHANGAN DEEPAL S07 represents our commitment to delivering an aesthetically pleasing and intelligent fully electric vehicle that enhances the everyday driving experience for European consumers,” said Nic Thomas, Head of Marketing, Sales & Service Europe.
To that end the vehicle includes driver assistance systems common in the European market, such as intelligent adaptive cruise control, automatic emergency braking, and traffic sign recognition.
However, production takes place at Changan’s Nanjing manufacturing facility, which represents a significant investment in Industry 4.0 manufacturing principles. The plant utilizes over 1,200 advanced robots with a 70% automation rate across most production processes.
“Our Nanjing facility represents the convergence of Chinese manufacturing innovation and European quality standards,” says Ethan Yin, Managing Director Changan Europe. “Every Deepal S07 embodies the precision and craftsmanship unlocked through this digital manufacturing revolution.”
Changan’s European entry coincides with an unprecedented wave of Chinese automakers establishing presence in the region. According to data from Schmidt Automotive Research, Chinese brands captured 8.4% of the European EV market in 2024, up from 4.2% in 2023, with BYD, SAIC’s MG, and Geely’s brands leading the charge. There are now 17 Chinese automotive brands operating in Europe, compared to just five in 2020.
This expansion occurs against a backdrop of evolving EU-China trade relations. In July 2024, the European Commission implemented tariffs ranging from 17.4% to 37.6% on Chinese-made EVs following an anti-dumping investigation. However, analysts at Bernstein Research note that the impact has been mitigated by Chinese manufacturers accelerating plans to establish European production facilities. Although unlike competitors such as BYD, which has announced a manufacturing plant in Hungary, Changan has not yet revealed plans for European production.
Fantastic voyage
The first shipment of 155 Deepal S07 vehicles departed from China back in May, with primary destinations including Germany, Norway, and the UK. The initial vehicle allocation is expected to arrive in Europe in June, following a six-week sea voyage. Customer deliveries are scheduled to commence in September 2025 across five markets: Germany, Norway, the UK, the Netherlands, and Denmark.
Changan has established partnerships with established automotive retail groups across these markets to create its initial dealer network. The company has stated that it aims to have a presence in over 10 European markets by the end of 2025, with a target of operating more than 100 dealerships across the continent within the same timeframe.
“We have carefully selected partners who share our commitment to customer service excellence and have deep experience in their local markets,” said Leevon Tian, Deputy General Manager of ChangAnAutomobile Europe Holding BV.
Recognizing that successful market entry requires more than vehicle availability, Changan has established a European parts distribution center in Helmond, the Netherlands, in partnership with logistics provider Kuehne+Nagel. This facility is designed to support the company’s aftersales operations from the outset of customer deliveries.
“European drivers expect exceptional service throughout their ownership journey,” says Thomas. “Our parts and service network has been designed with European expectations at its core – because earning trust in Europe requires commitment beyond the showroom.”
For Changan, the European market presents both opportunities and challenges. While the EU’s stringent CO2 emissions targets effectively mandate increasing EV sales, consumer adoption remains uneven across the continent.
“We enter Europe with respect for its automotive heritage and confidence in our ability to contribute meaningfully to its electric future,” says Yin. “The Deepal S07 is just the beginning of a long-term commitment to European drivers and the European automotive landscape. As these first 155 ambassadors make their way across oceans, they carry with them not just Changan’s commitment for Europe but our tangible demonstration of how Chinese innovation and European design sensibilities can create vehicles uniquely suited to Europe’s evolving mobility needs.”
And those needs include the European Commission targeting a 55% reduction in fleet emissions by 2030 and a complete phase-out of internal combustion engines by 2035. Changan’s ability to establish a foothold against both traditional European manufacturers and fellow Chinese competitors will depend on its capacity to fulfil these needs while balancing technological innovation, manufacturing efficiency, and keeping its European consumers happy.
